2. State Income Tax Refund & Alimony LEVEL 2 TOPIC 4491-08-C Income - State Income Tax Refund and Alimony v1.0 VO.ppt 11/30/20101NJ Training TY2010 v1.0

3. New Jersey Income Tax Refunds Reported only if Taxpayer itemized deductions last year. Claimed deduction for state/local income tax Not reported if Sales Tax deducted in prior year Report on line 10 – Form 1040 Link to “State Tax Refund Worksheet” Need prior year data to calculate whether partially taxable If do not have prior year data, then all taxable 11/30/2010 2NJ Training TY2010 v1.0

4. 1099-G With State Refund 2008 11/30/2010 3NJ Training TY2010 v1.0

5. Alimony Alimony Received Is Taxable 11/30/2010 4NJ Training TY2010 v1.0